Scenario 15.1 Use the Following to Answer the Questions

question 152

Multiple Choice

Scenario 15.1
Use the following to answer the questions.
Liz Claiborne,Inc.markets several different brands,under their own Claiborne name label,as well as others.Their primary brands,such as Liz Claiborne,Liz & Co,and DKNY,are sold to wholesalers.These brands are then available through retail department stores such as Kohl's and Macy's.Their wholesale-based brands division is positioned as customer-focused and cost-efficient.Their premium brands division includes labels such as Kate Spade,Juicy Couture,and Mexx.These premium brands are sold through stores that the Claiborne company owns.
-Refer to Scenario 15.1.If Liz Claiborne were to distribute their Kate Spade brand through its company-owned stores and through wholesalers,to major department stores,then Liz Claiborne would be using ____ distribution.

• A)intensive
• B)vertical
• C)horizontal
• D)dual
• E)exclusive

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Definitions:

Interest Income

Revenue earned from deposit accounts or from lending funds, typically expressed as interest revenue on financial statements.

Annual Coupon

The interest payment that a bondholder receives from the bond's issuer at yearly intervals.

Yield To Maturity

The expected overall profit from a bond when it is kept until the date of its maturity.

Current Yield

The annual income (interest or dividends) earned from an investment, expressed as a percentage of the current price.